It is a new word coined by Indians. We are a fashionable nation. We never miss the latest fashions. Grexit was the new then, Brexit is current now. But Rexit is the latest – It is an invention of India.
That is about all on the word.
Now the subject.
Raghuram Rajan, the famous economist who predicted the US financial crisis has become the darling of the thinking elite of India. He is now attracting reams and reams of valuable newsprint and months and years of media time.
Do I find it crazy ? Not at all.
I feel it is very much justified.
Who am I ? I am a common man of India having a taste of matters monetary, having wasted almost 4 decades in the field. Did I learn any?
I have. Yes, quite a bit.
Or at least this much.
Public money is always not public money.
Public money means private money for a chunk of businessmen, industrialists and most of politicians in India.
Public property is not the property of the public. It is nobody’s property. While the clueless always remain clueless, the intelligent ones make public property (their) private property.
In the list next comes: Public Sector Banks.
Public sector Banks are not the banks for the public. Please do not get tempted to remember the original definition of democracy made by an unimaginative (our netas think so!) person.
Public sector banks can become in parts the private banks of the privileged few.
“We bring economic development to the nation; If we earn a profit from our ventures it is not a sin. You should understand that it is incidental to our ‘service to the nation’. We put our money into our ventures. But it is not enough. We want more. Where can we go if not to banks? Of course it is all we who started the banking system in India. It is not the government. So you agree that we need to borrow from the banks. Brother, remember that it is serving the nation’s cause of development. If GDP is growing, are industrialists and businessmen in any way benefited ?.. or honoured? It is you the citizens who are enjoying the fruits of development. Why are you always wanting to know how much we borrowed, how much we utilized, how much we took out, What is your bother? Why are you harassing us ? Is it because of jealousy? (If yes, please come to me, I will make you comfortable). Why you never worried about the funds siphoned off by the politicians and never brought them to book? Why this ‘kolaveri’ against business people alone? Whatever you write, discuss, teach or shout, you can not take away the right of us milking from the system. The secrecy laws, laws about rights, international accords, anonymous business entities, etc, etc are the brainwork of elites to safeguard themselves. So what? It is our right to be secretive about our moneys. You do not understand how it is our money. You should understand that once money leaves you hand and comes to our hand it immediately becomes our money. Please do not try to confuse the people by saying that earned money is different from borrowed money. We never buy your arguments. Most people won’t buy your arguments. Or if someone tries to buy your arguments, we know how to buy him and silence him. You know the rules and rulers of all hues are with us and patronizing us. If you have not understood it so far, please understand at least now: WE ARE THE RULERS OF INDIA. Of course we are not holding any political posts. ”
This is the refrain of our privileged few. Please understand that the word ‘few’ in a country of 1.25 billion people can mean tens of thousands.
Raghuram Rajan was sincerely and seriously trying to expose the workings of this grand drama of India’s financial sector. While he made the PSU banks to disclose NPAs so far undisclosed, he was doing the nation a great service. It plunged the banking sector into a tizzy.
Already banks are under strain of higher capital requirements and the Government is in tantrums.
But is it the reason? I will not say it is THE reason. But it is surely the ONE STEP that led first to the glib talks suggesting and later forcing Rexit and now Rajan’s own words emphasizing that his home is in the realm of ideas.
Then what is the reason. I will tell you. It is only a surmise or it is the greatest truth. What is it?
All the steps being taken by Rajan are willy-nilly leading to the inevitable need cornering the unscrupulous commercial and industrial borrowers, which may, if not stopped, AT LAST MAKE THEM REPAY THE MONEY.
The unscrupulous are always great friends of the unscrupulous. You agree?